SOFIA (Bulgaria), July 24 (SeeNews) – Bulgarian pharmaceutical manufacturer Biovet and its parent company Huvepharma International intend to seek funding of 115 million euros ($ 133.5 million) by modifying existing agreements with the European Investment Bank (EIB) and a syndicate of foreign lenders, Biovet said.
Biovet seeks approval from its shareholders to sign an agreement with the EIB to increase the financing provided by the lender to Dutch company Huvepharma International by € 25 million, Biovet said in a notice to a published shareholders’ meeting earlier this week.
The money will be used to complete construction of Biovet’s animal vaccine manufacturing plant in Razgrad, the company said.
Huvepharma International signed a 100 million euro loan agreement with the EIB, guaranteed by the European Fund for Strategic Investments (EFSI), in 2018. The loan was intended to finance Biovet’s investment in a new facility in fermentation for the manufacture of active substances, nutritional supplements, enzymes, probiotics and ready-to-use medicinal formulations for animal and human health and a new plant for the manufacture of animal vaccines.
Biovet is also seeking the green light from its shareholders to sign an amendment to an existing syndicated loan agreement, which provides for the establishment of a revolving loan of 90 million euros intended to cover working capital needs. Rabobank Antwerp, UniCredit Bulbank, ING Bank – Sofia branch and BNP Paribas – Sofia branch act as co-arrangers of the syndicated loan.
The general meeting of Biovet shareholders is scheduled for August 21.
The final owners of Huvepharma International are Bulgarian businessmen Kiril Domuschiev and Georgi Domuschiev.
($ = 0.8615 euro)